Blackstone Agrees to Buy Takeda Pharmaceutical Unit for $2.3 Billion

Takeda Consumer Healthcare is a leading provider of over-the-counter medicines in Japan.
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Blackstone  (BX) - Get Report announced Monday that it has agreed to purchase the consumer health-care unit of Japan’s Takeda Pharmaceutical  (TAK) - Get Report for 242 billion yen ($2.3 billion).

Takeda Consumer Healthcare (TCHC) is a leading provider of over-the-counter medicines in Japan. Its products include vitamin drug Alinamin and Benza Block, a cold remedy.

The transaction marks Blackstone’s second private equity transaction in Japan’s healthcare sector, following the acquisition of Ayumi Pharmaceutical in 2019 for $1 billion. Ayumi makes biopharmaceutical drugs that are similar to previously approved biologic medicines but are cheaper, according to The Wall Street Journal.

“We see tremendous potential for TCHC in Japan and throughout Asia, and we are confident that Blackstone’s global network and expertise in the sector can accelerate TCHC’s growth,” Atsuhiko Sakamoto, head of private equity for Blackstone Japan, said in a statement.

Blackstone is making a push in other areas of healthcare, too.

Last month, it closed what it claims is the biggest-ever private equity fund for life sciences--$4.6 billion. Even before the fund closed, Blackstone allocated an estimated $1 billion of the total, BioPharma Dive reported.

In April, Blackstone and genetic medicine developer Alnylam Pharmaceuticals agreed to a licensing and financing deal valued at up to $2 billion. In June, Blackstone made deals with Reata Pharmaceuticals worth $350 million and with medical equipment maker Medtronic worth $337 million.

Blackstone has also gone beyond healthcare in Japan. It forged a deal earlier this year to buy 220 apartment buildings, mostly in Tokyo and Osaka, for more than 300 billion yen ($2.8 billion), knowledgeable sources told The Journal.

In pre-market trading, Blackstone recently traded at $53.50, up 1.00%, and slid 5% year to date through Friday. Takeda recently traded at $19.43, up 3.10%, and also has dipped 5% this year.